When audit engagement teams use applications to perform an audit, these applications are referred to as software audit tools by regulators and professionals. Software audit tools include a wide range of applications that perform many different individual functions throughout the audit process. In fact, during the recent AICPA SEC/PCAOB update conference , George Botic, Director of the Division of Registration and Inspections for the PCAOB, discussed a common tool auditors have been using for years: www.confirmation.com . Mr. Botic went on to note recent issues that have been identified as part of the PCAOB inspection program that engagement teams were not appropriately following the standards regarding confirmations when using tools like conformation.com. During the PCAOBs presentation in the conference room chat, many participants submitted or promoted questions around this issue. One of the more popular questions that went unanswered was “what procedures should we be performing when we use Confirmation.com?” After the conference, JGA fielded many questions from our clients and friends on engagement teams and in firm national office roles. Teams wondered why this is now an issue as they have used Confirmation.com for years and on engagements that had previously gone through PCOAB inspection without an issue in this area. While the standards have not changed in many years, the PCAOB noted in their presentation that the confirmation standard was still relevant. We submit that “relevant” is based on your perspective. For example, when was the last time you sent a facsimile? Audit staff may not know what standard related to facsimiles of audit confirmations and how those aspects of the standards remain relevant today. Regardless of the unanswered questions, age of the current standards, or your opinion on the issues written by a PCAOB inspection team; audit firms, engagement partners, and engagement team members should follow the current audit standards when using applications in the audit process. At JGA, we work with firms to develop and implement policies and procedures and other elements of the software audit tool control environment that support engagement team’s use of software audit tools throughout the audit process. What Are Software Audit Tools? Software audit tools are applications, utilities, or code (e.g., macros, queries, stored procedures, report logic) that process, analyze, calculate, or manipulate data to support an engagement team’s audit procedures. Software audit tools can be used throughout the audit in: Audit documentation Planning and risk assessments Testing the design effectiveness of controls Testing the operating effectiveness of controls Substantive testing populations, sampling, and testing Journal entry populations, sampling, and testing Substantive analytical procedures Audit scheduling and time tracking Certain applications like Excel or Access are not software audit tools on their own but may be used to develop a software audit tool using formulas, macros, code, queries, or other features that process, analyze, calculate, or manipulate data to support an engagement team’s audit procedures. Common Software Audit Tools Software audit tools can be used in all areas of the audit and within the audit practice. While most auditors are familiar with audit documentation tools and tools that sort and filter populations of data for testing, more advanced tools are continually being introduced that are used by audit firms to further accelerate audit transformation.